Review of the operations of the NSW Reconstruction Authority

Review of the operations of the NSW Reconstruction Authority

Grants and funding arrangements

63

the floods in the Central West region in 2022. The Council had to borrow from its

reserves to fund recovery work during this time.416

5.72 Mr James Prosser, Senior Project Manager, Port Macquarie Hastings Council, told

the Committee that the Council cannot begin certain recovery work until it has all

necessary processes in place and funding approved, which can take years.

417 Mid

North Coast Joint Organisation also noted that most member councils still had

not received confirmation of eligibility for DRFA funding four months after the

May 2025 East Coast severe weather event. This left them uncertain about the

scope or timing of restoration funding and unable to commit to essential

recovery works.

418

5.73 The Institute of Public Works Engineers Australia (IPWEA) NSW & ACT described

the Authority's DRFA systems as 'woefully inadequate'. They contrasted the

agency's processes and the delays councils experience with the work of the

Queensland Reconstruction Authority (QRA), and said that the QRA processes

claims in as little as three weeks in certain instances.

419 However, Tim Mackney,

Board Director, IPWEA NSW & ACT also acknowledged that the Authority is in a

'teething period' and the QRA has more experience with these processes.420 The

Authority also advised they are working with the QRA to learn from them

(discussed further below).421

5.74 IPWEA noted the Authority could reduce delays by increasing staffing in DRFA

administration, as it was currently under-resourced in this area.

422

5.75 The Committee is of the view that the Authority should have funds readily

available so that councils do not incur this extra financial burden at a time when

council assets are adversely impacted. Consideration should be given to whether

the NSW Reconstruction Authority Fund, established under section 22 of the Act,

is adequately supporting the prompt distribution of funding to councils and other

organisations assisting with recovery.423

The Authority is making changes to DRFA administration

5.76 The Committee heard that the Authority is taking steps to address issues causing

delays in administering DRFA. It has announced new funding packages,

centralised DRFA administration, and investing in new software.

New funding packages

5.77 Following the May 2025 East Coast severe weather event, the NSW Government

worked with NEMA and the Australian Government to set up a $19 million

416 Submission 18, pp 4, 6.

417 James Prosser, Transcript of evidence, 17 February 2026, p 6.

418 Submission 24, pp 6-7.

419 Submission 43, p 5.

420 Tim Mackney, Transcript of evidence, 3 November 2025, p 48.

421 Andrew Graham, Transcript of evidence, 20 February 2026, p 37.

422 Institute of Public Works Engineering Australasia, Answers to supplementary questions, 3 December 2025, p 3.

423 NSW Reconstruction Authority Act 2022, s 22.